The State government of Kerala intends to contest the National Company Law Tribunal (NCLT) order transferring SAIL-SCL Kerala Limited to Chattisgarh Outsourcing Services, citing violations of lease agreements and procedural irregularities. According to Industries Minister P. Rajeeve, the tribunal’s decision lacked the State government’s input and disregarded established lease terms.
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The NCLT’s ruling on May 2 stemmed from a complaint lodged by Canara Bank regarding a ₹45 crore loan provided to the company in 2013, which SAIL-SCL Kerala Limited allegedly failed to repay. The order was based on a resolution plan proposed by Chattisgarh Outsourcing Services, outlining a repayment arrangement for the outstanding debt.
Minister Rajeeve expressed dissatisfaction with the process, highlighting discussions with Canara Bank for a one-time settlement and SAIL’s purported lack of effort in salvaging the public sector enterprise. Additionally, concerns were raised about the limited advertisement of the company’s revival plans, raising suspicions about the transparency of the proceedings.
